How can Bangladesh's private sector engage with the Green Climate Fund?

The document serves as a guide for commercial banks, MSMEs, and investors in Bangladesh to engage with the Green Climate Fund. It details the roles of the National Designated Authority (NDA), the process for becoming a National Implementing Entity (NIE), and the options for acting as an executing entity. It specifically highlights the Private Sector Facility (PSF) and its MSME support programme, outlining the fiduciary, environmental, and social standards required for accreditation, as well as the criteria used to evaluate project proposals.

• As of May 2016, the Green Climate Fund (GCF) had secured US$10.2 billion in pledges from 42 governments, with the United States, Japan, United Kingdom, France, and Germany being the top five contributors.
• The GCF's Private Sector Facility (PSF) aims to address market failures that prevent private investment in risky climate projects in developing countries, with a specific MSME support programme capped at US$65 million for Asia.
• In Bangladesh, the Ministry of Finance’s Economic Relations Division (ERD) serves as the National Designated Authority (NDA), responsible for strategic oversight, nominating entities for accreditation, and approving readiness support.
• Private sector entities in Bangladesh can access GCF funds either by seeking accreditation as a National Implementing Entity (NIE) or by acting as an executing entity through an already accredited MIE, NIE, or RIE.
• The GCF uses a 'fit-for-purpose' accreditation approach that tiers requirements based on the project size (Micro to Large) and environmental and social risk category (A, B, or C).
• To achieve accreditation, entities must meet basic fiduciary standards (financial management, transparency, and accountability) and may need specialised standards for project management, grant awards, or on-lending and blending.
• Accreditation requires the implementation of an environmental and social management system (ESMS) based on the International Finance Corporation’s eight performance standards, as well as a dedicated gender policy.
• Project proposals are evaluated by the Independent Technical Advisory Panel (ITAP) based on a 65% weight for programme evaluation (fit, design, readiness, and concessionality) and a 35% weight for maximum impact (systemic and local).
• The GCF provides country readiness support of up to US$1 million per year to help NDAs and implementing entities, and a Project Preparation Facility (PPF) to fund pre-feasibility studies and risk assessments for accredited entities.

APA

Rai, N., Hossain, I., Soanes, M., Fayolle, V., Nasir, N., & Mahid, Y. (2016). How can Bangladesh's private sector engage with the Green Climate Fund? Climate and Development Knowledge Network. http://cdkn.org/wp-content/uploads/2016/11/How-can-Bangladeshs-private-sector-engage-with-the-Green-Climate-Fund.pdf

Chicago

Rai, Neha, Iftekhar Hossain, Marek Soanes, Virginie Fayolle, Naznin Nasir, and Yousuf Mahid. How can Bangladesh's private sector engage with the Green Climate Fund? Climate and Development Knowledge Network, 2016. http://cdkn.org/wp-content/uploads/2016/11/How-can-Bangladeshs-private-sector-engage-with-the-Green-Climate-Fund.pdf.

Wikipedia

{{cite report |last1=Rai |first1=Neha |last2=Hossain |first2=Iftekhar |last3=Soanes |first3=Marek |last4=Fayolle |first4=Virginie |last5=Nasir |first5=Naznin |last6=Mahid |first6=Yousuf |title=How can Bangladesh's private sector engage with the Green Climate Fund? |publisher=Climate and Development Knowledge Network |date=July 2016 |url=http://cdkn.org/wp-content/uploads/2016/11/How-can-Bangladeshs-private-sector-engage-with-the-Green-Climate-Fund.pdf |access-date=17 August 2026 |via=Climate Insights Directory}}

BibTeX

@techreport{rai2016how, author = {Rai, Neha and Hossain, Iftekhar and Soanes, Marek and Fayolle, Virginie and Nasir, Naznin and Mahid, Yousuf}, title = {{How can Bangladesh's private sector engage with the Green Climate Fund?}}, institution = {Climate and Development Knowledge Network}, year = {2016}, month = jul, url = {http://cdkn.org/wp-content/uploads/2016/11/How-can-Bangladeshs-private-sector-engage-with-the-Green-Climate-Fund.pdf}, urldate = {2026-08-17}, note = {Indexed by Climate Insights Directory} }